All Forum Posts by: Kristin Reh

We are considering it because the property values keep dropping drastically in our area and between the two loans we now owe $56,000 more on the home than it's worth with a ballon payment due on the HELOC due in 3+ years. We consulted an attornery about filing bankruptcy to strip the HELOC and now because of this error you said just what our attornery said "first recorded, first in line" so she suggested asking the companies to try to get it fixed if we decide to try to file a Ch. 13 bankruptcy since we like our home and would like to keep it. We are just terrified of the continually decreasing property value and the balloon payment so we would like to take action now. Thanks for all the information.

No the HELOC was a different company and not involved, but our paperwork said that they had to sign off on the subordination before it was filed with our county. Unfortunately that was not done even though we paid the extra fees and insurance to have it done. The title company is still in business, but has changed names from Inc to an LLC so I am not sure if they will say it is not their problem. I thought about sending a certified letter to them as well to get them to fix their error. I figure this is going to take a couple months to get fixed if I am lucky.

In 2005 we did a refinance with our 1st mortgage company to lower our interest rate at their suggestion. It was one of those no doc refi's where they sent a notary to our home after 7 weeks of preparing the paperwork. Fast forward to now and we find out they did not properly record the title/deed with our county. We paid for title insurance, title recording fees, and sub recording fees, but they did not get the subordinate paperwork to show that our equity loan remained the 2nd mortgage on our home. The information was in our closing package, but they only recorded 18 pages of the approximately 25 pages with our county. Of course both loans have been bought and sold in the 5-1/2 years since, but Wells Fargo who currently owns what should be our first mortgage has a statement on their website stating that if title insurance was purchased at closing errors will be corrected as soon as they are found.

I sent them a huge package showing all the details where the errors occurred and information to have the title/deed corrected. I am wondering what our chances are of actually getting Wells Fargo to correct the title/deed that Washington Mutual did not file correctly in 2005 when they owned the mortgage? Has anyone else had any luck with getting a situation like this fixed?